Comex High Grade Copper Futures (HG) Technical Analysis – January 15, 2016 Forecast

March Comex High Grade Copper futures are trading lower shortly before the regular session opening. Yesterday, the market posted a potentially bullish closing price reversal bottom. However, there was no follow-through to the upside so the chart pattern has not been confirmed. A trade through 1.9920 will confirm the chart pattern. This could trigger an acceleration to the upside.

The current price is 1.9505. The first downside target is yesterday’s low at 1.9425. A trade through this level will negate the closing price reversal. This should lead to a break into a steep downtrending angle at 1.9285.

Crossing to the weak side of the angle at 1.9285 will put the market in a bearish position. This could drive the market into a longer-term downtrending angle at 1.8795. This is also the trigger point for an even steeper break.

 The daily chart indicates there is room to the upside if the chart pattern is confirmed. Taking out 1.9920 will not only confirm the closing price reversal chart pattern, it could trigger an even further rally into the next downtrending angle at 2.0385.

Look for a downside bias today on a sustained move under 1.9285 and an upside bias on a sustained move over 1.9920.